STA 473 Understand how human resource managers...

Introduction to Business Management 22-Feb-13

Chukiat Worasucheep 1

Chukiat Worasucheep

STA 473Business Management

Chapter 8Human Resource Management


Learning Objectives

� Understand how human resource managers recruit and select employees.

� Illustrate the various types of employee training and development methods.

� Describe different types of pay systems and how to evaluate employees.

� Describe the most important laws affecting the workplace with which human resource managers need to be familiar.

� Describe the key human resource management challenges facing managers today.

Content

� Introduction� HR Planning� Attracting employees

� Developing employees� Retaining employees� Challenges in Human Resources

Chukiat Worasucheep 3 Chukiat Worasucheep 4

Introduction to HRM

� What is HRM?

� Human resource management (HRM, or simply HR) is – the management of an organization's workforce, or human

resources.– It is responsible for the attraction, selection, training,

assessment, and rewarding of employees,– while also overseeing organizational leadership and culture,

and ensuring compliance with employment and labor laws.

� Since people are the most valuable asset.




Introduction to HRM

� What an HRM for?

� Aims/Processes of human resource mgt. (HRM)– determining how many people are needed;– executing hiring and training; – compensating them correctly;– evaluating employees in an unbiased manner;

– ensuring that employee schedules are appropriate.– Above all, HR managers ensure employees are treated fairly

and consistently.

� Vital to development & strategic planning

Core HRM Activities


Content




HR Planning

� Prepare HR inventory– Determine the required and the currently available positions

and manpower.� Job analysis

– is a study of what is done by employees who hold various job titles.

– Job description (JD) specifies the objectives of a job, the type of work to be done, the responsibilities and duties, the working conditions, and the relationship of the job to other functions.

– Job specification are written summaries of the minimum qualifications (education, skills, etc.) required of workers to do a particular job.

� Assess future HR demands and supply� Document a HR plan




POSITION PAYSCALE

PRESENT STAFF

PRESENT PAYROLL

PROJECTED STAFF

PROJECTED PAYROLL

MANAGEMENT

Level 24

Level 18

$65,000

$45,000

1

1

$65,000

$45,000

1

1

$65,000

$45,000

CLERICAL

Level 10

Level 6

$21,000

$16,000

2

3

$42,000

$48,000

2

5

$42,000

$80,000

PRODUCTION

Level 14

Level 10

Level 8

Level 5

Level 4

$26,000

$19,000

$16,000

$13,000

$11,000

3

1

2

2

13

$78,000

$19,000

$32,000

$26,000

$143,000

4

1

2

2

26

$104,000

$19,000

$32,000

$26,000

$286,000

SALES

Level 10 $26,000 5 $130,000 7 $182,000

TOTALS 36 $628,000 50 $881,000

Expanding the Work Force Sample Job Descriptions (JD)

� Description: Mechanical Engineer� Job Purpose:

– Designs mechanical and electromechanical products and systems by developing and testing specifications and methods.

� Job Duties:– Evaluates mechanical and electromechanical systems and products by

designing and conducting research programs; applying principles of mechanics, thermodynamics, hydraulics, heat transfer, and materials.

– Confirms system and product capabilities by designing feasibility and testing methods; testing properties.

– Develops mechanical and electromechanical products by studying customer requirements; researching and testing manufacturing and assembly methods and materials; soliciting observations from operators.

– Develops manufacturing processes by designing and modifying equipment for fabricating, building, assembling, and installing components.

– Assures system and product quality by designing testing methods; testing finished- product and system capabilities; confirming fabrication, assembly, and installation processes.

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Sample Job Descriptions (JD)

� Description: Mechanical Engineer (cont.)– Prepares product reports by collecting, analyzing, and summarizing information and

trends.– Provides engineering information by answering questions and requests.– Maintains product and company reputation by complying with government

regulations.– Keeps equipment operational by coordinating maintenance and repair services;

following manufacturer's instructions and established procedures; requesting special services.

– Completes projects by training and guiding technicians.– Maintains professional and technical knowledge by attending educational

workshops; reviewing professional publications; establishing personal networks; participating in professional societies.

– Contributes to team effort by accomplishing related results as needed.

� Skills/Qualifications:– Requirements Analysis, Design Skills, Presenting Technical Information, Equipment

Maintenance, Conceptual Skills, Quality Focus, General Consulting Skills, Control Engineering, Production Planning, Technical Zeal, Job Knowledge



� Description: Quality Engineer� Job Purpose:

– Provides statistical information for quality improvement by identifying testing methods and samples.

� Job Duties:– Determines quality improvement parameters by identifying statistical

methods relevant to manufacturing processes.– Establishes statistical confidence by identifying sample size and

acceptable error; determining levels of confidence.– Establishes statistical reliability by using mean time before failure, weibull

3-parameter distribution, reliability modeling, and reliability demonstration tests.

– Develops experiments by applying full and fractional factorial techniques.

– Maintains statistical process controls by applying demerit/unit, zone charting, x2 charts for distributions and individual-medial/range for multistream processes.

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� Description: Quality Engineer (cont.)

� Job Duties:– Analyzes data by completing hypothesis, normal distribution, and process

capability analysis tests.

– Prepares reports by collecting, analyzing, and summarizing data; making recommendations.

– Maintains professional and technical knowledge by attending educational workshops; reviewing professional publications; establishing personal networks; benchmarking state-of-the-art practices; participating in professional societies; maintaining American society of quality control certified quality engineer qualification.

– Contributes to team effort by accomplishing related results as needed.

� Skills/Qualifications:– Analyzing Information , Reporting Research Results, Technical

Understanding, Promoting Process Improvement, Developing Standards, Managing Processes, Manufacturing Methods and Procedures, Supports Innovation, CAD, Quality Engineering, Operations Research


Sample JDs

� http://hiring.monster.com/hr/hr-best-practices/recruiting-hiring-advice/job-descriptions/sample-job-descriptions.aspx


Content




Recruiting from a Diverse Population

� Recruitment– is the set of activities used to obtain a sufficient number of

the right people at the right time; its purpose is to select those who best meet the needs of the organization.

– Reasons?

� Not always easy� Internal candidates� External candidates

� Difficult for small businesses



Position Announcement

� Channels

– Newspapers

– Online – web, e.g. www.jobsdb.com, www.nationejobs.com.

– Campus visits

– Informal Talks

– Head hunter services

– etc.

� Content of the announcement

– Organization brief, logo

– Core Job description (in brief) and responsibility

– Qualification

– Working environment

� (may include benefits and incentives)

– Contact






Selecting Employees

� Definition– is the process of gathering information and deciding who

should be hired, under legal guidelines, in the best interests of the individual and the organization.

� Expensive process� Six-step selection process:

– Obtain complete application forms.– Conduct initial and follow-up interviews.– Give employment tests.– Conduct background investigations.– Obtain results from physical exams.– Establish trial periods and evaluate the employee.

Content





Training and Development

� Three steps of employee training system– Assessing, Designing, and Evaluating

� Methods:– Employee orientation– On-the-job-training– Apprentice programs– Off-the-job training– Online training– Job simulation– Management training


Appraising Employees

� Performance Appraisal– is a process of providing feedback to subordinates regarding

their performance on the jobs.– Informal vs. formal.

� Six steps:– Establish standards.

– Communicate standards.– Evaluate performance.– Discuss results. – Take corrective action.

� Performance Improvement Plan (PIP)

– Use results to make decisions.



Content




Compensation

� Objectives of a carefully managed compensation and benefits program:

– Attract efficient employees– Provide work incentive– Keep valued employees– Maintain competitive position– Provide employees with financial security


Pay Systems (1/2)

� Salary� Hourly wage or day work� Piecework system

� Commission plans� Fringe benefits� Health benefits


Pay Systems (2/2)

� Bonus plans� Profit-sharing plans� Stock options

� An employee stock ownership plan (ESOP)– an employee-owner scheme.– Companies provide their employees with stock ownership,

often at no or minimal cost to the employees.– Shares are given to employees and may be held in an ESOP

trust until the employee retires or leaves the company. The shares are then sold.



Separation

� Is the process of reintegrating an employee to society– An employment should be terminated for just a cause

� An exit interview– a survey conducted with an individual who is separating from

an organization.– Information gathered can be used to improve the

organization.– Includes the reasons for leaving, job sait

� A retirement plan must be provided for an old employee as an aid when they leave the company.


Alternatives to Traditional Scheduling

� Flextime plan– Core time

� Compressed workweek� Telecommuting

� Job sharing


Laws Affecting Thai HRM

� กฎกระทรวง กําหนดอัตราคา่รักษาพยาบาลที�ใหน้ายจา้งจา่ยตาม พรบ.เงนิทดแทน พ.ศ. 2537, พ.ศ. 2548

� ประกาศกระทรวง เรื�อง ความปลอดภยัในการทํางาน� กําหนดอัตราคา่รักษาพยาบาลที�ใหน้ายจา้งจา่ย ตามพระราชบญัญัตเิงนิ

ทดแทน พ.ศ. ๒๕๓๗, พ.ศ. ๒๕๔๘� กฎกระทรวง วา่ดว้ยการจัดสวัสดกิารในสถานประกอบกจิการ พ.ศ.

๒๕๔๘� กฎกระทรวง วา่ดว้ยการคุม้ครองแรงงานในงานเกษตรกรรม พ.ศ. ๒๕๔๑� กฎกระทรวง กําหนดมาตรฐานและวธิกีารตรวจสอบกลิ�นในอากาศจาก

โรงงาน พ.ศ. ๒๕๔๘� กฎกระทรวงกําหนดหลักเกณฑแ์ละวธิกีารตรวจสอบสขุภาพของลกูจา้งฯ

พ.ศ. 2547� พระราชบญัญัต ิแรงงานสมัพันธ ์พ.ศ. 2518� พระราชบญัญัต ิคุม้ครองแรงงาน พ.ศ. 2541


Challenges in Human Resources

� Employee relations

� Industrial revolution

� Working with Unions




Negotiation Tactics used by Unions

� Labor contract

� Strike

� Boycott

� Mediation– A third party mediator is introduced into the negotiation. The

mediator uses mediation procedures to encourage both sides in the dispute to come to an agreement.


Negotiation Tactics used by Management

� A lockout– An attempt by managers to put pressure on union workers by

temporarily closing the business.

� Injunction– A court order directing someone to do or to refrain from doing

certain acts.

BBC News - lockout


Current Challenging HRM issues

� Globalization– HR completes same functions– Cultural difference are critical

� Comparable worth (pg. 273-274)

� Work-life Balance

� Win-win situation

� Sexual harassment– Hostile work environment– In USA, 90% settled out of court

– Quid pro quo

� Securing and Retaining the Best Workers– Motivation– Expensive to hire new employees




Next Classes

� Next few classes will begin the 2nd main function of business management !

– Chapter 9-10 Marketing:� Product & Price� Place & Promotion

� Assignments– Case: Chap 8 – HRM

� Expanding the workforce

� Department store dilemma

– Due: next class

STA 473 Understand how human resource managers...

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